Peter Kafka

Recent Posts by Peter Kafka

Cable Guys Still Can't Find Cord-Cutters, Even When They Squint

Here’s the cord-cutting debate: There’s the group that insists cord cutting is here, or that it’s going show up really soon. And then there’s the incumbent TV industry, which continues to say that it can’t find any evidence that people are dumping their cable subscriptions for some combination of YouTube, Hulu, Netflix, etc.

Lastest installment: A report from Disney’s ESPN, which says that just a tiny fraction–0.18 percent–of cable subscribers cut the cord in the last three months, and that that number shrank from 0.28 percent last fall.

Just as important, says ESPN: It found an equal number of “un-cutters”–broadcast TV owners who added cable and broadband access during the same period. Which means whatever loss the cable business just recorded was netted out by its new gains.

ESPN’s analysis, which it put together using Nielsen numbers, basically mirrors what it reported late last fall. Except it’s even more positive for cable guys like Comcast and Time Warner Cable–and, of course, ESPN itself.

If you’re a cynic, you might wonder what the cable network would do if the numbers didn’t support its relatively rosy outlook. Then again, if you really were a cynic, you might argue that a lot of the cable-cutting rhetoric you hear comes from cord-cutting start-ups and their backers, who have their own expensive axes to grind.


comments so far. Add yours.

  • Anonymous

    Cable companies will deny cord cutters until their last customer cancels service…

  • http://www.facebook.com/people/Jim-Tekdaddy/100000033103724 Jim Tekdaddy

    Cut the cord myself a few months ago. Netflix, Hulu+, Boxee and Playon TV streamed through a HTPC Is working out great! Very few shows I cant find through one of these outlets. Might be a few weeks old but I’m patient. I have no idea why people are still paying for subscription TV. The only out of pocket expense I had was the PC at about $450. That will pay for itself in the first six months. If you have a PS3 then you can bypass the HTPC all together.

  • Anonymous

    I’m a “cord cutter,” but in large part because I don’t care for the majority of what’s on TV, and I don’t mind catching the little I care for on DVD six months later. I love sports, but between a DTV antenna and ESPN3 (my ISP is, fortunately, on “the list”), I do okay. The prospect of getting NBA League Pass for 7 teams for $65 on Apple TV or a similar device would make cable COMPLETELY unnecessary for me.

    But I’m sure their data doesn’t capture people like me. I take it all – both sides – with a grain of salt until the trends are clearer, and especially until genuine choice is available to cord cutters.

  • http://twitter.com/JasonDKing Jason D. King

    Look like another in a long line of studies that illustrates folks are “cord-keeping.” What’s the next topic du jour?

  • Anonymous

    Excellent illustration. I’m setting up something similar, albeit with a full-on NAS instead of a Time Capsule. Thanks for the info on backblaze.com; I’d never heard about them.

    Consider adding a simple DTV antenna for your live event coverage. I could easily have watched the Oscars since they air on ABC.

    Now if only there was a Mac mini/Apple TV hybrid with a Blu-Ray drive…

  • http://www.facebook.com/eric.dalnas Eric Dalnas

    Cut the cord last month, So far so good.

  • http://www.cockenadoodledoo.com Jared C.

    Thank you!

    I’ve been waiting for the next generation od 2.5″ profile NASs to come out before switching over. I did actually add an OTA solution for the Oscars (Elgato EyeTV One with a Terk powered antenna).

    I’m with you on the Blu-Ray. Yes, Apple, we understand that rights are hard and that this will be the last round of physical media. Thing is, we don’t want to go down to DVD quality after watching HD streams on Netflix, or Apple TV.

  • Anonymous

    We cut for 6 months a year. Every year. As soon as football ends we cut. If football doesn’t start up this year, we’ll cancel directv completely.

    Right now we use Hulu Plus, Netflix (streaming/videos), a HTPC, a Roku and a Sony Blu Ray player, plus two computers (Mac/PC) running Serviio and finally Plex software.

    I plan to add an Elgato EyeTV eventually too.

Latest Video

View all videos »

Search »

I think going public today is almost like a Bataan death march. I think Wall Street — this will insult many people — but I think in many ways it bears a resemblance to organized crime. It is legal today what they do, but what they do is manifestly unfair.

— Roger McNamee of Elevation Partners, in conversation with Bloomberg Television’s Margaret Brennan